If you’re worried about security, remember that the first £50,000 of your savings (per individual, not per account) is covered by the Financial Services Compensation Scheme. It’s an independent safety net if a bank or building society fails. Be aware that currently, the £50,000 limit applies to each banking licence. Some banks that are members of the same group (such as Halifax, Birmingham Midshires and Bank of Scotland), share a banking licence; others don’t. The financial regulator, the FSA, is looking to simplify the compensation rules, but as I write this, it hasn’t changed them.
